Hey,
I would like to start by thanking all the posters in other threads in a similar situation, it really does help. I would have sent a thousand PMs already if there wasn't the 20 post bar to reach. Although, I believe if I just throw out "Go Independent!!! ZINNNG" 20 times, I would be able to make the limit and still stay under the radar.
I feel I have 30+ hours logged reading multiple forums trying to make a decision, hopefully my research and thread will help others in a similar situation.
Quick Bio: I am 26, a recent college grad w/ honors (Finance). Ambitious, Energetic and any other action word that looks fancy on a resume. I'm done working side jobs and doing things under the counter to get by, it's time to invest into a career. Long-term goal: Be my own boss, make it rain $$.
With the state of the economy I was drawn towards P&C, because everybody needs auto insurance. I enjoy a challenge and am not afraid to beat the streets cold calling or waiting in the bushes outside auto malls, so I know I will be successful.(NML and MassMutual will be addressed near the bottom of the post).
I have started the Farmers Agent process, still going through the licensing so I have some time to decide if this is it or not. Here are some of the decisions I have been dealing with:
Captive vs. Independent:
The 4 big reasons to go independent seem to be 1) ACTUALLY being your own boss instead of just feeling like it. 2) Greater ability to cater to the client because of the multiple insurers I can sell for. 3) You own your own book(HUGE). 4) No stress from having a contract hanging over your head and constantly being pushed into your face.
Pros for captive: 1) If you get a good DM, you will have a decent mentor to ease you into the industry and have an experienced member to fall back on. I have ZERO experience, aside from purchasing auto insurance, in the actual insurance industry, so that appealed to me. 2) An established name would be a selling point. 3) I can work out of the DM's office for up to two years, so I should have plenty of time to know if I can make or not in the industry before I have to lease my own space.
I'm not sure if this is correct or not, but assuming I want to leave farmers at the end of the two years, I can sell my existing book back to them. Is that correct? Or do I have to be out on my own for a certain amount of time before I can sell the book back?
A big complaint I have come across is that so many agencies cry about devoting so much time to customer service. Umm, isn't that just part of the job? I figured that is the backbone to a successful agent, that is what puts one Farmers Agent over the other. Is there really an Insurer that handles the majority of customer service so the Agent is free to sell? Doubt it, but let me know if I am wrong.
Many agents have stated with companies such as Farmers and State Farme, there are so many agents on the corner of every block that it is hard to sell. I think this is over come by offering superior customer service. In fact, I think it may be a bonus, because there will be another Farmers Agent on every other corner that has to service my client(at least take the check to pay for that months dues) if my client walks into their office. That makes it easier for the customers, another selling point.
I went to lunch with a local Farmers Agent(20+ years) who said he doesn't care how many Farmers Agents are established, he has a very high retention rate with a loyal customer base, due to good service.
I went with Farmers over State Farm, mostly because Farmers seems to have a better commissions set up. State Farm seems like more of an upfront commitment and harder to leave unscathed if I decided it wasn't for me. From what I have read, it seems like State Farm has a more serious start up program, but there have been more State Farm Agents drowning in debt than Farmers. Regardless which way you go (Farmers/SF/etc.), there are a couple years of 60-80 hour work weeks before you can sleep well at night. If you can survive the first 3-5 then you are set.
You can go to FarmersInsuranceSucks.com and read all the testimonials, but keep in mind there are thousands of agents and millions of customers, there are bound to be unhappy people. That site acts as a focal point for all the hate from clients who really didn't understand their policy coverage, and unmotivated agents who couldn't make sells. I'm not saying there are not legitimate claims, I'm sure there are, many in fact, but we all know someone in our every day life who is unmotivated, gripes about everything, nothing is ever really their fault and the world is always against them(catching my sarcasm?), on a website like the above mentioned, those people blend in, so you never really know how good the source is, and I can make a run on sentence like no other.
After turning all this over and over in my head for a few weeks, I was contacted(several times) by a Northwestern Mutual rep. Oh crap, maybe this is a better opportunity...
So now the whole wheel is starting over with NWL vs Guardian vs Mass Mutual...
I haven't researched it as much, but it definitely seems like there is way more money involved in these companies.
My question is, with the economy in it's current state, would it be better to stick with selling P&C with a set up like Farmers, or is it viable to try to rely on selling life insurance, or investments with someone like NWL/MM/Guardian? I would imagine it would be a lot harder to sling life right now, which I know I would do for Farmers to(but in a home/auto/life combo), than it would to push P&C.
Sorry for the long post but I hope it helps someone. I'm looking forward to any responses and any insight the pros can offer.
I would like to start by thanking all the posters in other threads in a similar situation, it really does help. I would have sent a thousand PMs already if there wasn't the 20 post bar to reach. Although, I believe if I just throw out "Go Independent!!! ZINNNG" 20 times, I would be able to make the limit and still stay under the radar.
I feel I have 30+ hours logged reading multiple forums trying to make a decision, hopefully my research and thread will help others in a similar situation.
Quick Bio: I am 26, a recent college grad w/ honors (Finance). Ambitious, Energetic and any other action word that looks fancy on a resume. I'm done working side jobs and doing things under the counter to get by, it's time to invest into a career. Long-term goal: Be my own boss, make it rain $$.
With the state of the economy I was drawn towards P&C, because everybody needs auto insurance. I enjoy a challenge and am not afraid to beat the streets cold calling or waiting in the bushes outside auto malls, so I know I will be successful.(NML and MassMutual will be addressed near the bottom of the post).
I have started the Farmers Agent process, still going through the licensing so I have some time to decide if this is it or not. Here are some of the decisions I have been dealing with:
Captive vs. Independent:
The 4 big reasons to go independent seem to be 1) ACTUALLY being your own boss instead of just feeling like it. 2) Greater ability to cater to the client because of the multiple insurers I can sell for. 3) You own your own book(HUGE). 4) No stress from having a contract hanging over your head and constantly being pushed into your face.
Pros for captive: 1) If you get a good DM, you will have a decent mentor to ease you into the industry and have an experienced member to fall back on. I have ZERO experience, aside from purchasing auto insurance, in the actual insurance industry, so that appealed to me. 2) An established name would be a selling point. 3) I can work out of the DM's office for up to two years, so I should have plenty of time to know if I can make or not in the industry before I have to lease my own space.
I'm not sure if this is correct or not, but assuming I want to leave farmers at the end of the two years, I can sell my existing book back to them. Is that correct? Or do I have to be out on my own for a certain amount of time before I can sell the book back?
A big complaint I have come across is that so many agencies cry about devoting so much time to customer service. Umm, isn't that just part of the job? I figured that is the backbone to a successful agent, that is what puts one Farmers Agent over the other. Is there really an Insurer that handles the majority of customer service so the Agent is free to sell? Doubt it, but let me know if I am wrong.
Many agents have stated with companies such as Farmers and State Farme, there are so many agents on the corner of every block that it is hard to sell. I think this is over come by offering superior customer service. In fact, I think it may be a bonus, because there will be another Farmers Agent on every other corner that has to service my client(at least take the check to pay for that months dues) if my client walks into their office. That makes it easier for the customers, another selling point.
I went to lunch with a local Farmers Agent(20+ years) who said he doesn't care how many Farmers Agents are established, he has a very high retention rate with a loyal customer base, due to good service.
I went with Farmers over State Farm, mostly because Farmers seems to have a better commissions set up. State Farm seems like more of an upfront commitment and harder to leave unscathed if I decided it wasn't for me. From what I have read, it seems like State Farm has a more serious start up program, but there have been more State Farm Agents drowning in debt than Farmers. Regardless which way you go (Farmers/SF/etc.), there are a couple years of 60-80 hour work weeks before you can sleep well at night. If you can survive the first 3-5 then you are set.
You can go to FarmersInsuranceSucks.com and read all the testimonials, but keep in mind there are thousands of agents and millions of customers, there are bound to be unhappy people. That site acts as a focal point for all the hate from clients who really didn't understand their policy coverage, and unmotivated agents who couldn't make sells. I'm not saying there are not legitimate claims, I'm sure there are, many in fact, but we all know someone in our every day life who is unmotivated, gripes about everything, nothing is ever really their fault and the world is always against them(catching my sarcasm?), on a website like the above mentioned, those people blend in, so you never really know how good the source is, and I can make a run on sentence like no other.
After turning all this over and over in my head for a few weeks, I was contacted(several times) by a Northwestern Mutual rep. Oh crap, maybe this is a better opportunity...
So now the whole wheel is starting over with NWL vs Guardian vs Mass Mutual...
I haven't researched it as much, but it definitely seems like there is way more money involved in these companies.
My question is, with the economy in it's current state, would it be better to stick with selling P&C with a set up like Farmers, or is it viable to try to rely on selling life insurance, or investments with someone like NWL/MM/Guardian? I would imagine it would be a lot harder to sling life right now, which I know I would do for Farmers to(but in a home/auto/life combo), than it would to push P&C.
Sorry for the long post but I hope it helps someone. I'm looking forward to any responses and any insight the pros can offer.